Delaware License LawIntermediateDelaware Exam
What is the Delaware requirement for 'errors and omissions' (E&O) insurance for licensees?
AOnly brokers must carry E&O; salespersons are covered by the broker's policy
BAll active licensees must be covered by E&O insurance as a condition of active licenseCorrect
CE&O insurance is optional but recommended by the Commission
DOnly licensees handling commercial transactions must carry E&O
Why All active licensees must be covered by E&O insurance as a condition of active license Is Correct
Answer B: All active licensees must be covered by E&O insurance as a condition of active license
Delaware requires all active real estate licensees to maintain errors and omissions insurance coverage as a condition of holding an active license, protecting consumers from claims of negligent acts or omissions.
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Key Terms to Know
Private Mortgage Insurance (PMI)
Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Title InsuranceInsurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
Math Concepts
State-Specific Concepts
License Law
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